Money Manager Articles

Posts Tagged ‘retirement age’

(Money Manager) - Conduit IRA plans are sometimes referred to as a Rollover IRA. These plans are designed to temporarily house fund distributions from other qualified retirement plans. They can be used as a temporary solution when a person leaves a company as a means of storing the money accumulated in that company's retirement plan.

(Money Manager) - A 457 plan is a deferred and non-qualified compensation plan. These plans are established by state and local governments, tax-exempt local governments, and employers who are tax-exempt. Employees who are eligible can make contributions to these plans, which are tax-deferred, so that all contributions will not be taxed until the assets are distributed at retirement.

(Money Manager) - A 408(k) is a plan that allows employees of smaller companies and those who are self-employed to save money for retirement. Although many people think the 408(k) term is the actual name of a plan, it is really a term that describes an Internal Revenue Code. This code defines and details the Simplified Employee Pension account, which is commonly referred to as an SEP account. These plans allow individuals to contribute to a retirement plan account using their pre-tax dollars. The use of pre-tax instead of after-tax dollars can effectively reduce an employee's income for the year, which can result in significant tax savings for the individual.